Jaguar and Nichols part company.

Jaguar Racing and Steve Nichols have gone their separate ways after the disappointing debut of the new Cosworth-powered R3 in testing this season.

After much discussion, the pair jointly agreed that there was a need for the design and the development activities of the company to receive fresh impetus and direction, despite Nichols having only joined Jaguar Racing as technical director in December 2000, bringing with him a big reputation for innovative design.

As a result of talks, however, the former McLaren and Ferrari designer has tendered his resignation as technical director with immediate effect.

For an interim period, Guenther Steiner - who only joined Jaguar Racing from Ford's WRC team this year - will assume direct control of all responsibilities of the technical director, in addition to his duties as managing director.

No date has been set for an announcement of a full-time replacement.